New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1887-03-09
MR.. GARRETT'S BIG OPTION.
THE CONTROL OF ALL THE BALTIMORE
AND OHIO ENTERPRISES.

To TIE PESNsYLvANIA RAILROAD-wEsT-
R!iS UNION TO ABSORB THE BALTIMORE
AND OHIO TELEGRAPH COMPANY.
BALTIMORE, March (Speciab.-The city is full
of rumors in regard to negotiations for the contrsi
of the Baltimore and Ohio Railroed and Of its
telegraph lines and express company. As the
interest Of tho city of Baltimore and of
the Stc.e Of Maryland In the railroad company Is
large and important, these rumors naturally cause
much comment and excitement. 1t is now under
stood that as the result Of these negotiations the
control Of the railroad, the telegraph lines and the
express business will be taken outside Of
the city and the State. 1t is believed
that arrangements are practically completed
by which President Garrett will sell his interest in
the Baltimore and Ohio Railroad. The UNDER
he'd by Johns Hopkins University about 10, 900
shares It is said-and will transfer these shares to-
gether with those previously owned by the Garrett
family, and with whatever amount Of stock
additional may be necessary to give
control of tho property to syndicate headed by
Alfred sully, General Samuel Thomas and Calvin
s. Brice, who arc the leading spirits in Richmond
Terminal
Furthermore. 10 10 understood that the syndicate,
when comes into possession of the property hopes
to negotiate a contract with the Pennsylvania Kali
road by which the line built by the Baltimore
and Ohio between Baltimore and Philadelphia will
ba sold tn tha vlv ond On onutract ,yit n
the Western Union Telegraph Company by which
1t will acquire the Baltimore ana Ohio telegraph
lines As an additional consequence Of the change
Of control of the railroad company the express
business will be absorbed by one Of the great ex-
press companies of the country The object OF these
sales will be to relieve the company Of the heavy
floating debt, stated by some as high as fifteen mil
hons and hardly claimed by anybody TO be less
than nine or ten millions. which has been run up
In tho of Mr. Garrett's enterprising manage
inent.
The amount of Baltimore and Ohio common stock
now outstanding Is 1892, 566 and of preferred
e5,0OO.OOO The city of Baltimore owns $1,000
shares and has seven directors IN tho board; the
State of Maryland holds large interest and
has four directors. while the individual stockhod
eIs arc represented by twelve directors.
The understanding is that Mr. Garrett has given
an option on n controlling amount of Baltimore and
Ohio stock at price not yet known.
WHAT THE BALTIMORE SUM- SAYS.
no OFFICIAL pENIALAr THAT END OF TIE LINE -
Mr.. GARRETT NOT SAYING WORD.
BALTIMORE March tSpecan.-" The Sun " will
pint In its local columns tomorrow the follow
ing: The Baltimore bankers and stock brokers
received numerous dispatches from NewYOrll
yesterday giving statements concerning the al
legged syndicate for the purchase of controlling
interest In the stock OF the Baltimore and Ohio
Iiailroad Company. The stories went so far as
10 say that contract had been made for a
transfer Of 1000 shares Of the stock 10 the
syndicate for 10000 900. Tie fact that there
WA 10 official denial at this end of the line made
some people in financial circles take o serious view
Of the situation and that the report was being
used 10 push up Western Union Telegraph stock
in New-YorlS was generally believed. Millions of
money have been made in short time by the
litc advances In this stock and rise Of twenty
points in the $4,000 shares OF this gigantic con-
Germ will bring profit OF SIC. 700. 900. enough
Ohio stock banker put the case in this wise :
"' The principal point in the big deals OF a
syndicate is to observe secrecy. II their plans
were TO become known prematurely 1t would de
feat them. No one can therefore know what il
going on. but everybody thinks there is q syn
dicate at work upon some scheme Nearly every
thing Is possible, and that remark may be applied
TO safe Of tho control L tho Baltimore and
Ohio to Mr.. Jay Gould and other parties. Such
a scheme was talked Of somo five years ago. when
Mr.. Gould was said 10 want TO pay s225 share
for enough Baltimore and Ohio stock TO give him
control. President John w. Garrett struck out
with pretty strong emphasis when the story
reached him that outside parties wanted to get
control Of his road
"Anobher banker said he did not believe the
CARROTS wanted to sell q control In The stock
but that it was current report that the plans of
the syndicate comprehend n large purchase Of II
and tho 1900 shares OF the Johns Hopkins Uni
ycrsity will probably fill the order The Univer-
sity Trustees at u meeting Oh Monday evening
discussed business matter in connection with
their Baltimore and Ohio stock They declined
to tell what was done. and an inquirer on the
outside was referred to Mr. Robert Garrett for
particulars. Mr.. Garrett was on South-st yes
terday and entertained some ladies' and gentlemen
at the Merchants Club. Some OF his expressions
concerning inc synuicato ruHorS "oio 'uiioie v"
tho Street lie quoted from the play OF we.
Us & Co. that speech OF the actor. amt say
ing word, am p lie also said that the sky was
so full Of birds that gunner could shoot i'll any
direction and be sure to bring down game. There
nro I5O 900 shares Of Baltimore and Ohio stock
OF which the CARROTS own reported over 10000
the Johns Hopkins University $4,000; the City
OF Baltimore $4,000; the Greggs 5000. and the
B,,rnses 1000. The will of Mr. John W. Garrett
left 10000 of the shares he owned to be held
in trust for twenty years, but IL Is argued that
tbeir voting and dividend privileges are another
matter A banker who telegraphcd 10 his cor
respondents gave q summary of his views OF the
case as follows:
.sOf the 100000 shares OF Baltimore and
Ohio. 1000 shares were left by John w. Gar
left in trust, with instructions that they
should not be sold for twenty years
~ 600 shares arc held by the trustees
of Johns Hopkins University, and althougn ign